Holdings in global gold-backed ETFs and similar products fell by 39 t to 2,394 t in July, pushing assets under management in US dollars down by 4% to US$94 billion from US$98 billion in June.

Gold price performance was a large contributor to outflows as it fell over 2% in US dollar terms.

All regions experienced outflows in July.

ETF outflows were dominated by North American funds, losing US$984 million.

Asia experienced the largest outflows on a percentage basis (6.2%), while Europe reversed the recent trend of inflows, losing 8.0 t (US$302 million).

COMEX net long futures are the lowest in three years highlighting bearish sentiment in the market.

A very low net long level, however, has historically preceded rallies in the price of gold.

Regional fund flows

  • North American funds saw outflows of 25.0 t (US$984 million, 2.1% AUM) Holdings in European funds fell by 8.0 t (US$302 million, 0.8%)
  • Funds listed in Asia decreased by 5.1 t (US$220 million, 6.2%), while other regions also saw a reduction in holdings of 0.6 t (US$24 million, 1.8%)

Year-to-date trends

  • European funds lead the way, adding US$2.2 billion (5.3% AUM) to their holdings
  • Asian funds have seen an impressive percentage increase, growing by 8% y-t-d, but have given up gains over the past two months
  • North American flows have been negative for three straight months, with US$1.2 billion (2.4% AUM) coming out on the year
  • A stronger dollar in Q2 and a declining gold price have weighed on ETF holdings, and global AUM is only slightly higher on the year 22 t (US$ 1.0 billion, 1.1% AUM)